SMALL WOODS ASSOCIATION
ACCOUNTS
FOR THE YEAR ENDED 31 MARCH 2015
Company No. 03919849 (England and Wales)
Charity No: 1081874
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SMALL WOODS ASSOCIATION
Company Information
Directors and TrusteesJohn Blessington
Graeme McVittie
Gary Battell
Phil Burton
Rod Pomery (resigned 12-06-2015)
Jerry Langford
Paul Phillips
Christopher Duncan (Co-opted)
Alyson May (Co-opted)
George Smith (Co-opted)
Company SecretaryChristopher Duncan
Company Number03919849
Charity Number1081874
Registered OfficeStation Road,
Coalbrookdale,
Telford,
Shropshire,
TF8 7DR
AuditorsJames, Holyoak & Parker Limited,
1 Knight’s Court,
Archers Way,
Battlefield Enterprise Park,
Shrewsbury,
Shropshire, SY1 3GA
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SMALL WOODS ASSOCIATION
Contents
Page
Trustees Report4 – 8
Chairman’s Report9
Auditors’ Report10-11
Statement of Financial Activities12
Balance Sheet13
Notes to the Accounts14-23
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SMALL WOODS ASSOCIATION
Trustees’ Report
for the year ended 31 March 2015
The trustees, who are also directors of the charity, present their annual report and accounts for the year ended 31 March 2015.
The legal and administration information set out on page 2 forms part of this report.
Objects of the Charity, Principal Activities and Organisation of our work
The charity is constituted as a company limited by guarantee, and is therefore governed by a memorandum and articles of association.
The charity’s object is to advance education in the conservation of small woodlands. The principal activities are training and educational courses, apprenticeships, and taster sessions in small woodland management and wood product making, seminars, events, an annual conference and advice. The charity also runs demonstration projects at local, regional and national level, which offer advice, networking and support for practitioners, owners, community groups and woodland initiatives, or help disadvantaged groups by offering training and a route into woodland work.
The day to day operations were controlled by Mike Bentley, Chief Executive and reported to the trustees. Mike left Small Woods in February 2015. The Charity had one full time member of staff and a number of part time workers and volunteers. During the period close to 11,000 hours were donated by volunteers.
The Board annually reviews levels of organisational risk and mitigation strategies, including business continuity arrangements
Development, Activities and Achievements this Period
2014/15 has again been a busy year for all at Small Woods with some projects drawing to a close and the development of the Small Woods Enterprise beginning.
2014/15 saw a continuing increase in member numbers, despite the poor economic situation that has seen many membership organisations seeing a decline. During the year we ran a total of 13 events and visits, including four in partnership with Flora Locale, from Devon and East Sussex up to Cumbria. All were well attended, and provided a good opportunity for staff and board to meet members. David Brown, our SE Coordinator, continues to serve the needs of his local members with visits and a local newsletter. Our annual Skill Share event was held in September at Flimwell in East Sussex, with Alison Field (FC) and Tim Rowlands (Future Trees Trust) as the main speakers. The event went down very well with those who attended, but we still struggled to attract a satisfactory number of members. Our mentoring scheme still attracts new participants but there are still gaps in our network of mentors.Smallwoods magazine continues to be very well received, although we received a setback when Nick Gibbs was involved in an accident in June. In February we updated the website, and introduced a means of paying by credit or debit card which seems to be more popular with members than Paypal.
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SMALL WOODS ASSOCIATION
Trustees’ Report
for the year ended 31 March 2015 (continued)
Small Woods is a partner in the EU funded SIMWOOD project. It brings together 27 organisations in 14 EU countries to exchange experience and pilot new approaches to increase mobilisation of timber from smaller woodlands. Two study areas are in the UK, and we employ a project officer, Amanda Calvert, in Lochaber in the western highlands of Scotland. Outputs in 2014/15 included producing an extensive profile of the woodland resource in Lochaber, a consultative meeting and a proposal for a pilot project in Fort William.
A number of courses, some funded by LANTRA, were held at the Green Wood Centre and around the country including Grow Your Business, First Aid, Introduction to Woodland Management, Coracles and Trug Making
Heartwoods SITA Semi Natural Woodland project completed with 9 woodlands being worked in and an ecological report produced for all the sites. There was a short extension of the RDPE Woodfuelproject which ran smoothly and hit all targets and objectives.
During 2014 – 2015 Richard Thomason continued the development of the National Coppice restoration programme. This included the development of new coppice groups and the successful handover of the secretariat for the National Coppice Federation. The Coppice products web site has continued to grow in popularity and Richard continues to support the development of the National Coppice apprentices. A SITA funded Coppice Restoration project, ‘All Along the Edge,’ was started in Shropshire. The project has successfully recruited new coppice volunteers to protect and enhance a valuable Dormouse habitat.
The Apprenticeships project continued with 3 coppice apprentices and 3 forestry apprentices. The forestry apprenticeships programme with Myerscough has on occasion been challenging but are still progressing positively.
Our Biffa funded biodiversity project for at Nedge Hill Woods went into its second year. Regular volunteers have helped with coppicing, hedgelaying and site clearance to make the area more accessible for the public.
The Actif Woods Wales project, managed by Coed Lleol, our branch in Wales, has gone from strength to strength. We are now over 2 years into our current 3 year project. We currently run woodland health and wellbeing activities in 5 areas of Wales (Aberystwyth, Anglesey, Neath Port Talbot, Treherbert Rhondda Cynon Taf and Wrexham) and employ 8 part time members of staff. So far we have reached 855 people, started 39 groups (of which over 20 are running long-term and regularly), and have reached 5791 unique attendances. We have funding from the Big Lottery People and Places Fund until March 2016, and are currently applying for their continued funding to expand the project over a further 2 years and work in 10 areas. We have Natural Resources Wales Partnership Funding agreed until March 2018. We are also funded by a number of local funds in the areas in which we work.
Thanks go to The Big Lottery,Veolia, SITA, Biffa, Esmee Fairbairn, Ernest Cooke, Radcliffe Trust, Forestry Commission England and Wales, Countryside Commission for Wales.
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SMALL WOODS ASSOCIATION
Trustees’ Report
for the year ended 31 March 2015 (continued)
Transactions and Financial Position
Full details of the financial activities are provided on page 12 with General Reserves at 31 March 2015 standing at £138,319, which is in line with the budgeted outturn for the year. The reported deficit on unrestricted funds for the year amounted to £54,114. This includes a charge of £23,670 in relation to the write off of our investment in Corressence Limited following the decision taken by that company’s Board to place it into voluntary liquidation. This was a disappointing end to what had been until comparatively recently, a very exciting story. Ultimately scientific research requires vast resources before products can be brought to market and when Corressense could not raise further funding from appropriate venture capital providers, the result became inevitable. Further details are provided at Note 10 to the accounts.
An amount of £57,869 is held in Designated Funds.This represents the amount set aside by the charity specifically for the support of seven ongoing projects.
A cash balance of £58,485 is held on Capital Reserve. As recommended by the Charity Commissioners, the Trustees have a deliberate policy to build up this reserve which has been established in order to meet contingencies and potential liabilities that may arise in the event of a contraction of activities.
Use of the Gift Aid scheme by members has continued to boost funds.
Tangible Fixed Assets for use by the Charity
Details of movements in fixed assets are set out in note 9 to the accounts.
Directors and Trustees
The directors at 31 March 2015 are listed on page 2 and all directors of the company are also trustees of the charity. There are no other trustees.
The subsidiary company, Heartwoods Limited, has its own board of directors, and Small Woods Association is the only member. Heartwoods produces its own financial statements which are consolidated into the group accounts.
Trustees Appointment, Induction and Training
The trustees are elected under the terms of the Memorandum & Articles of Association. One third of the trustees must retire at each AGM.
Most trustees are familiar with the practical work of the charity and may have worked as volunteers. New trustees are supplied with copies of:-
- The main documents which set out the operational framework of the charity, including the Memorandum & Articles of Association.
- The current financial position as set out in the latest published accounts.
- Copies of recent Board Meeting minutes.
Trustees who have not already done so are required to attend core training for new volunteers.
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SMALL WOODS ASSOCIATION
Trustees’ Report
for the year ended 31 March 2015 (continued)
Risk Management
The trustees review the major risks faced by the charity on a regular basis and it is considered that the implementation of strong budgetary and other key financial controls will provide sufficient resources in the event of adverse conditions. The trustees also examine other operational and business risks faced by the charity and confirm that systems and controls are in place which should mitigate against any significant risks.
Statement of Trustees’ responsibilities
The trustees are required to:-
(a)select suitable accounting policies and apply them consistently;
(b)make judgements and estimates that are reasonable and prudent;
(c)state whether the policies adopted are in accordance with the Companies Act 2006 and with applicable accounting standards and statements of recommended practice, subject to any material departures disclosed and explained in the financial statements;
(d)prepare the financial statements on a going concern basis unless it is inappropriate to assume that the charity will continue in operation;
(e)maintain proper accounting records;
(f)safeguard the assets of the charity.
In the case of each of the persons who are trustees at the time when the trustees report is approved:
- so far as the trustee is aware, there is no relevant audit information (information needed by the company’s auditors in connection with preparing their report) of which the company’s auditors are unaware, and
- each trustee has taken all the steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the company’s auditors are aware of that information.
The requirement to comply with regard to public benefit has been satisfied.
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SMALL WOODS ASSOCIATION
Trustees’ Report
for the year ended 31 March 2015 (continued)
Auditors
A resolution proposing the re-appointment of James Holyoak & Parker Limited as auditors of the charity will be put to the Annual General Meeting.
Approval
This report was approved by the board of directors and trustees on and signed on its behalf.
Christopher Duncan
Secretary
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SMALL WOODS ASSOCIATION
Chairman’s Statement
for the year ended 31 March 2015
2014-15 has undoubtedly been a challenging year for Small Woods, but yet again a challenge we have risen to. We welcomed three new trustees to the board in Aly May, George Smith and Chris Duncan, with all of them making strong contributions already and Chris taking on the role of Company Secretary. The Skills Sharing Weekend in East Sussex was excellent with a strong line-up of speakers and much enjoyed by all who attended. Next year we have decided to make it more accessible by keeping it to one day and costs to the absolute minimum to try to broaden its appeal.
After a year and a half of work raising our profile our chief executive Mike Bentley got head hunted by one of the many organisations and firms he had been working with and we had to say goodbye to him in February. Whilst plans are afoot to appoint a new Chief Executive our senior management team is covering in his absence despite the many other pressures on them. Our SIMWOOD project has really made its presence known raising our profile at a European level adding to our reputation as a strong partner which delivers the goods in the domestic woodland sector. CoedLleol our highly successful Welsh, multi-partner social forestry project continued to raise its reputation even further, which is useful as it enters a new funding stage. Our fantastic apprenticeship programmes also continue to flourish.
I would particularly like to thank our loyal group of core staff who continue to run the organisation despite many pressures and a hugely difficult funding environment where there is stiff competition for every available penny meaning you have to work twice as hard to fund the work as well as then having to find the time to do the work. As ever we look forward to enjoying the many events and achievements of the coming year just as we have in the last one and don’t be surprised if you hear about some new funding ideas and initiatives! As ever I encourage all our membership to engage and contribute wherever possible to help grow and improve your organisation.
John Blessington
Chairman
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SMALL WOODS ASSOCIATION
Independent Auditor’s Report to the Members of
Small Woods Association
We have audited the financial statements of Small Woods Association for the year ended
31 March 2015which comprise the Group Statement of Financial Activities, theGroup and Parent Charitable Company Balance Sheets and related notes. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
This report is made solely to the charity’s members, as a body, in accordance with Sections 495 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the members those matters we are required to state to them in an auditors’ report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s members as a body, for our audit work, for this report, or the opinions we have formed.
Respective responsibilities of Trustees and Auditor
As explained more fully in the Trustees’ Responsibilities Statement (set out on page 7) the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view.
We have been appointed auditor under the Companies Act 2006 and section 151 of the Charities Act 2011 and report in accordance with those Acts. Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland). Those standards require us to comply with the Auditing Practices Board’s (APB’s) Ethical Standards for Auditors.
Scope of the audit of the financial statements
An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient to give reasonable assurance that the financial statements are free from material misstatement, whether cause by fraud or error. This includes an assessment of: whether the accounting policies are appropriate to the charitable company’s circumstances and have been consistently applied and adequately disclosed; the reasonableness of significant accounting estimates made by the trustees; and the overall presentation of the financial statements. In addition, we read all the financial and non-financial information in the Trustees’ Annual Report to identify material inconsistencies with the audited financial statements. If we become aware of any apparent material misstatements or inconsistencies we consider the implications for our report.
Opinion on financial statements
In our opinion the financial statements:
- give a true and fair view of the state of the charitable company’s affairs as at 31 March 2015 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities Act 2011.
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